Swedish financial technology company Klarna has presented its first subscription plan, “Klarna Plus”, for $7,99 per month, which offers benefits such as eliminating additional service charges when using the Klarna One Time card, double reward points and access to exclusive discounts with popular brands.
The company also has a new welcome offer for subscribers, saving them $8 on their first Klarna Plus purchase.
“Our research indicates that dedicated Klarna users are looking for an enhanced shopping experience through a subscription model,” said David Sandstrom, chief marketing officer, in a statement. “Klarna Plus addresses this demand, allowing us to deepen our commitment to 37 million loyal US consumers, while further diversifying a portfolio of payment and shopping solutions.”
One of the most attractive advantages of Klarna Plus is that shoppers who use the Klarna Single Card, a single-use virtual payment card, do not pay any service fees. The company says this can help loyal Klarna users save approximately $12 monthly.
Additionally, subscribers who belong to the Klarna Rewards Club earn double points on purchases, making it easy to accumulate points and unlock Klarna rewards from brands such as Adidas, ASOS, Best Buy, COACH, Foot Locker, H&M, Nike, Macy's, Missguided. , Saks OFF 5th, Sephora and Shein.
The new monthly subscription plan also includes special discounts at Nike, COACH, Macy's, Instacart, and GOAT, totaling up to $30 per month. Klarna says it will launch more features soon.
The company is likely to enter the subscription market to boost recurring revenue ahead of an anticipated initial public offering (IPO). For investors, subscription revenue is believed to be more stable and predictable compared to one-time transactions. Klarna also has a high-yield savings account in the pipeline, CNBC reported.
Affirm, another major player in the buy now, pay later (BNPL) sector, is also considering according to reports a monthly plan.
